Office of the United States Trade Representative

The Office of the United States Trade Representative (USTR) is the United States government agency responsible for developing and recommending United States trade policy to the President of the United States, conducting trade negotiations at bilateral and multilateral levels, and coordinating trade policy within the government through the interagency Trade Policy Staff Committee (TPSC) and Trade Policy Review Group (TPRG).

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The head of the office holds the title of United States Trade Representative (USTR), which is a Cabinet-level position, though not technically within the Cabinet, as is the case with office heads not of US Departments but rather of offices contained within the Executive Office of the President. To fill the post, the President nominates someone for the position, and the appointment is then approved or rejected by a simple majority of the Senate. The United States Trade Representative and Deputy United States Trade Representatives (DUSTR) carry the title of Ambassador.

On May 2, 2013, President Obama nominated Michael Froman to succeed Ambassador Ron Kirk as the U.S. Trade Representative.[3] The Senate confirmed Froman on June 19, 2013, and he was sworn into office on June 21, 2013.[4][5]

There are two key advisory committees when it comes to agriculture. These two are the Agricultural Policy Advisory Committee (APAC) and the Agricultural Technical Advisory Committees (ATAC). APAC is made up of 34 organizations. [6] ATAC is made up of 6 groups. These groups being Animal and Animal Products, Fruits and Vegetables, Grains, Feed, Oilseeds, and Planting Seeds, Sweeteners and Sweetener Products, Tobacco, Cotton, and Peanuts, and Processed Foods. APAC and ATAC allow the private sector to play a role in the U.S. government when it comes to trade.[7]

In Agriculture, Free Trade Agreements (FTAs) play a big role. As stated, “For 16 of the 20 countries that the U.S. has FTAs with, U.S. exporters will face zero tariffs on 98% or more of agricultural goods once the agreements are fully implemented.”[7]

Global trade is one area America excels. They also have the world’s largest economy. Being competitive allows an increase in productivity and the growth of the economy. Expanding and shifting production has increased productivity and the county’s economic growth rate as well. “Exports have contributed nearly a third of economic growth since mid-2009, and account for approximately 13.5 percent of our economy”.[7]

USTR uses enforcement to secure U.S. trading. This is especially keen to American workers, farmers, ranchers, and businesses. It is interpreted to be fair and open, making sure that everyone follows it. [7]

The purchasing done under the government makes up 10 to 15 percent of the country’s GDP. In 1979, the first major Government Procurement Agreement appeared. Relations with Canada and Europe are especially noticeable in government procurement.[7]

The Office of Small Business, Market Access, and Industrial Competitiveness (SBMAIC) manages manufactured goods that the United States exports. Two of the biggest goals are to expand export opportunities and strengthen enforcement of trade rules. Industrial tariffs are a huge commodity, for approximately 96 percent of U.S. merchandise imports are nonagricultural goods.[7]

The Office of Services and Investment partakes in anything involving services, investment, and digital trade relevant to U.S. trade policy. International Investment provides both economic growth and protection for American workers. Services allows the world to connect. Through businesses, technology, retail, and all other forms of services, people interact globally. In the United States, service industries make up two thirds of the GDP and four out of five private-sector jobs.[7]

The World Trade Organization (WTO), Asia-Pacific Economic Cooperation (APEC), Association of Southeast Asian Nations (ASEAN), and the Organization for Economic Co-operation and Development (OECD) all have an impact in trade. The WTO deals heavily with FTAs. Licensing and trade barriers are addressed here. APEC facilitates trade with Australia, Brunei Darussalam, Canada, Chile, People’s Republic of China, Hong Kong, China, Indonesia, Japan, Republic of Korea, Malaysia, Mexico, New Zealand, Papua New Guinea, Peru, the Philippines, the Russian Federation, Singapore, Chinese Taipei, Thailand, The United States of America, and Vietnam. The U.S. also has a relationship with the ASEAN. ASEAN comprises of Brunei Darussalam, Burma, Cambodia, Indonesia, Laos, Malaysia, Philippines, Singapore, Thailand, and Vietnam. Lastly, OECD accounts for 78 percent of the entire world’s GDP and has 34 democracies in Europe, North America, the Pacific Rim, and Latin America in the organization.[7]

The National Trade Estimate Report on Foreign Trade Barriers (National Trade Estimate or NTE) is an annual series that surveys prepared by the USTR, which reports significant foreign barriers to U.S. exports. Since 1986, the NTE provides, where feasible, quantitative estimates of the impact of these foreign practices on the value of U.S. exports. Information is also included on actions taken to eliminate barriers.[8] It is based on information provided by USTR, the U.S. Departments of Commerce and Agriculture, and other agencies and sources.[8]

The Special 301 Report is prepared annually by the USTR under Section 182 as amended of the Trade Act of 1974. The Act states that the USTR must on an annual basis, by April of each year:

identify those foreign countries that deny adequate and effective protection of intellectual property rights, or deny fair and equitable markets access to United States persons that rely upon intellectual property protection, and those foreign countries identified under" this "paragraph that are determined by the Trade Representative to be priority foreign countries". The Act defines "priority foreign countries" as "those foreign countries that have the most onerous or egregious acts, policies, or practices that deny adequate and effective intellectual property rights, or deny fair and equitable market access to United States persons that rely upon intellectual property protection, whose acts, policies, or practices described in" this "paragraph have the greatest adverse impact (actual or potential) on the relevant United States products, and that are not entering into good faith negotiations, or making significant progress in bilateral or multilateral negotiations to provide adequate and effective protection of intellectual property rights.[9]

The Uruguay Round Agreement Act furthermore states that countries may be identified under Special 301 "taking into account the history of intellectual property laws and practices of the foreign country, including any previous identifications" and "the history of efforts of the United States, and the response of the foreign country, to achieve adequate and effective protection and enforcement of intellectual property rights". It also states that compliance with the Agreement on Trade-Related Aspects of Intellectual Property Rights does not include a country from being identified as denying "adequate and effective protection of intellectual property rights".[10]

As of February 2019, there are ten living former Trade Representatives (with all Representatives that have served since 1989 still living), the oldest being Frederick Dent (served 1975–1977, born 1922). The most recent and recently serving Representative to die was Clayton Yeutter (served 1985–1989, born 1930) on March 4, 2017.